Page 3689 - Week 08 - Friday, 24 August 2012
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156A Costs—awards of damages over $50 000
(1) This section applies if a court awards more than $50 000 in damages in a proceeding (other than an appellate proceeding) based on a motor accident claim.
Note Damages does not include damages for non-economic loss (see s (5)).
(2) If the amount of damages is equal to or more than a mandatory final offer made by the claimant, the claimant may apply to the court for an order that the respondent pay the claimant’s costs on a party and party basis up to the day the offer was made, and on an indemnity basis from that day.
(3) If the amount of damages is less than a mandatory final offer made by the respondent, the respondent may apply to the court for an order that—
(a) the respondent pay the claimant’s costs on a party and party basis up to the day the offer was made; and
(b) the claimant pay the respondent’s costs on an indemnity basis from that day.
(4) Also, the court may make an award of costs on an indemnity basis to compensate a party for costs resulting from a failure by another party to comply with a procedural obligation under this part.
(5) In this section:
damages does not include an amount for non-economic loss.
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Clause 22
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22 New part 4.9A
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Part 4.9A Damages for non economic loss
Note The Civil Law (Wrongs) Act 2002, pt 7.1 also applies to the award of damages for motor accident claims (see that Act, s 93).
156B Meaning of non-economic loss
In this Act:
non-economic loss includes the following:
(a) pain and suffering;
(b) loss of amenities of life;
(c) loss of expectation of life;
(d) disfigurement.
156C Guidelines to assist determining non-economic loss
(1) The CTP regulator may make guidelines (the non-economic loss guidelines) setting out information to assist courts in deciding the appropriate level of damages for non-economic loss in motor accident claims.
(2) A court must have regard to the non-economic loss guidelines when awarding damages, but is not bound by the guidelines.
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